How Municipalities Can Address Housing Affordability Through Code and Zoning Reform

Land Development
Published

Historical patterns of land use policy and zoning have either disincentivized or disallowed production of various housing types and price points. Many U.S. cities have zoned the majority of their residential land for single-family detached housing, which not is not the right choice for everyone. Code and zoning reform can help increase home supply and address the nation’s housing affordability crisis.

NAHB’s new resource, Model Housing and Land Development Code Guide, includes information about how updating housing and land development code can have real impacts on the costs and availability of housing. NAHB members in communities considering these changes can share this document with local officials and housing advocates to help educate them on the value of code and zoning reform.

Making the approval and review processes as efficient as possible should be a top priority. Lengthy and unpredictable processes add costs to housing development and hurt affordability. One potential solution to address this issue is to enact a housing approval shot-clock — for example a 60-day limit on issuing approval or denial for each housing proposal. Even better, cities such as Sacramento are now issuing policy that makes certain housing types by-right or able to bypass these entitlement processes all together. Another expediating strategy is to release preapproved plans for housing types.

The Model Housing and Land Development Code Guide also discusses the importance of legalizing and incentivizing a greater variety of housing types, including missing middle housing. Removing excessive and burdensome regulation that artificially raises the cost to build and sell homes should be closely examined. Often these come in the form of architectural design standards that have little to do with the safety, health and welfare basis of zoning. The guide provides good examples of pro-housing, sensible codes from across the United States.

Learn more through NAHB’s Land Use 101 toolkit.

Subscribe to NAHBNow

Log in or create account to subscribe to notifications of new posts.

Log in to subscribe

Latest from NAHBNow

Awards

Jun 17, 2026

Industry Legends Honored With National Housing Center Awards

Several industry leaders were recently honored for their contributions to the housing industry during the National Housing Center Awards Ceremony on June 13 in Washington, D.C. The ceremony recognized the 2026 inductees to the National Housing Hall of Fame and the recipients of the Exemplary Service to Home Building Award.

Jun 16, 2026

NAHB Statement on Agreement to Move Major Housing Legislation

Bill Owens, chairman of the National Association of Home Builders and a home builder and remodeler from Worthington, Ohio, issued the following statement on the 21st Century ROAD to Housing Act.

View all

Latest Economic News

Economics

Jun 16, 2026

Housing Starts Weaken in May as Multifamily Construction Slows

Housing starts fell sharply in May, driven by a steep drop in multifamily construction. Meanwhile, single-family buildings also slipped amid high interest rates, rising construction costs and ongoing labor shortages.

Economics

Jun 15, 2026

Builder Sentiment Remains Weak Amid Affordability Concerns

Builder sentiment remains subdued as rising material costs, elevated mortgage rates and ongoing affordability challenges continue to strain the housing market.

Economics

Jun 12, 2026

Single-Family Permits Continue to Decline Through April as Multifamily Activity Strengthens

Through April 2026, residential construction activity remained uneven across housing sectors. Single-family permitting continued to soften compared with a year ago, reflecting persistent affordability challenges and elevated borrowing costs, while multifamily permitting posted solid gains supported by stronger activity in several regions.